GARY SHILLING: The US Consumer Is Walking Us Right Into A Recession

Yesterday's disappointing consumer
credit report was unwelcome news for those hoping that the
consumer would drive the U.S. recovery.

Economist Gary Shiling continues to argue that we are still in
the beginning of a painful decade-long period of deleveraging.

"The U.S. economy is in or close to
a consumer-led recession," Shilling told Business Insider today.

"Retail sales fell in April, May and June - and 27 out of 29
times sales fell for three consecutive months since data started
in 1947, the economy was in or within three months of a
recession. The weakness in consumer borrowing reflects the
consumer retrenchment after their mini spending spree last year."